Australian SMBs present an addressable IT opportunity of $24 Billion: Zinnov

Zinnov has released the findings of its latest study on the SMB landscape of Australia. The report has revealed that Australian SMBs contribute 40% to the GDP and generate 70% of employment in Australia. The study also highlights key business and IT trends of the SMB market.

As per the study, a total of 2.1 million SMBs operating in Australia are realizing collective revenue of $530 billion. The report also suggests that the Australian SMB market is fragmented across verticals. Retail, professional services and construction contribute to 40% of the SMB revenue and employment, while healthcare and real estate services are emerging rapidly in Australia.

Praveen Bhadada, Director  Market Expansion, Zinnov, said, Access to the best-in-class technology infrastructure and huge addressable opportunity for ICT adoption by Australian SMBs have made the market a lucrative destination for emerging businesses. Today, 92% of Australian SMBs have internet with broadband and $24 billion is the Total Addressable IT opportunity for SMBs. Investments in Mobility, Security and SaaS are driving Software and Services growth in Australia.

The report also highlights Cloud Computing emerging as a core focus area for SMB IT investments. SMBs in Eastern Australia – New South Wales, Victoria, and Queensland – have shown maximum cloud usage and 32% of total SMBs in Australia are expected to move completely on cloud by the end of 2013. The SaaS market in Australian SMBs stood at $255 million, while the IaaS is valued at $285 million in 2012.

Further, the report estimates that more than half of the IT decisions on behalf of SMBs are made by these non-technical professionals.